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Huawei to Build First European 5G Factory in France to Soothe Western Nerves

Reuters

   PARIS - Huawei will build its firstEuropean manufacturing plant in
   France,itschairman saidThursday, as the Chinese telecom giant seeks to
   ease worldwideconcerns stoked by U.S. charges that Beijing could use
   itsequipment for spying.

   Liang Hua said Huawei, the world's biggest producerof telecom
   equipment, would invest 200 million euros ($217million) in the first
   phase of setting up the mobile basestation plant. He said it would
   create 500 jobs.

   Huawei, which denies its equipment poses a security risk,isat the
   centerof a storm pitting the United States against Chinaover 5G, the
   next-generationmobiletechnology. Europe hasbecome a major battleground.

   Continental market

   "This site will supply the entire European market, not justFrance's,"
   Liangsaid ata news conference. "Our group'sactivitiesare worldwide and
   for this we need a global industrialfootprint."

   5G technology is expected to deliver a huge leap in thespeed and
   capacity of communications and anexponential spike inconnections
   between billions of devices, from smartrefrigeratorsto driverless cars,
   that areexpected to run on 5G networks.

   It was not immediately clear whether Huawei's decisionhadthe blessing
   of French President Emmanuel Macron, who hascourted foreign investors
   but also led warnings about Chineseencroachment into the European
   Union's economy.

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